The new company plans to launch its first fund product as early as the end of this year.
The joint venture was authorized by the China Securities Regulatory Commission (CSRC) in July 2010 and is 51% owned by Western Securities, 49% by BNY Mellon.
Led by Bin Hu, BNY Mellon Western Fund Management Company (FMC) will initially manage domestic Chinese securities in a range of local retail fund products and focus on leveraging distribution within the Chinese banking and securities sectors.
BNY Mellon Asset Management CEO Curtis Arledge said BNY Mellon Western FMC will combine world class asset management expertise with a deep knowledge of the investment needs and preferences of investors in China.
“This is an exciting time in the economic development of China and we hope to quickly become a leader in offering innovative, high quality, locally-focused investment products for Chinese investors,” Arledge said.
Hu said that BNY Mellon and Western Securities have very ambitious expansion plans for their new company, which include becoming one of China’s leading QFII advisers through actively pursuing QFII sub-advisory deals with foreign institutional investors and providing access to new products in China.
Founded in 2001 with registered capital of RMB1bn, Western Securities is based in Xi’an and has 56 Securities branches throughout China.
BNY Mellon Western FMC will not offer advisory services in the US.
